Inditex, the company behind Zara, saw its sales and profit jump in the first half of FY23 on the back of higher sales across all its brands in the online space and all geographical areas.
The fast-fashion giant’s sales grew 13.5 per cent to €16.9 billion during the six months to July 31, with earnings before interest, taxes, depreciation and amortisation (EBITDA) rising 15.7 per cent to €4.7 billion and net income swelling 40.1 per cent to €2.5 billion. The company said that its spring/summer collections have been well received by customers.
Inditex opened 20 stores during the period, taking its store network to 5745, trading under the Zara, Zara Home, Pull&Bear, Massimo Dutti, Bershka, Stradivarius, and Oysho brands.
Gross profit rose 14.1 per cent to €9.8 billion while its gross profit margin jumped to 58.2 per cent.
Inditex forecasts further sales productivity in its stores going forward, estimating the growth of gross space to be around 3 per cent for FY23. The company forecasts ordinary capital expenditure of around €1.6 billion.
Meanwhile, the company reported positive figures for the first six weeks of the second half thanks to positive customer reception to its autumn-winter collections. Online and offline sales increased 14 per cent year on year (in constant currency) between August 1 and September 11.
